APA Sues Agent Over Exit to Gersh

(Ashley Cullins)

APA claims Garrett Smith breached his “duty of loyalty,” among other things.

Two more Hollywood agencies are facing off in the courtroom over allegations of poaching — this time it’s APA and Gersh.

APA is suing its ex-agent Garrett Smith over his recent exit to Gersh, claiming he breached his contract by leaving and encouraging others to go with him.

According to a lawsuit filed Thursday in L.A. County Superior Court, Smith’s one-year contract was subject to extensions at APA’s discretion through his third year with the agency. His initial contract was set to expire September 23, but APA in June extended it for another year.

Smith’s talks with Gersh began in July, according to the complaint, and involved not only terminating his own employment but also “diverting [APA’s] existing and prospective client relationships and business opportunities, as well as certain of [APA’s] employees, to Gersh” — ultimately leading to his resignation in August.

In addition to breach of contract and unfair competition, APA is also suing Smith for breaches of the covenant of good faith and fair dealing, fiduciary duty and the duty of loyalty.

APA is seeking statutory and punitive damages plus and injunction to prevent Smith from providing services to Gersh during the term of his employment agreement with APA.